Hyatt Hotels Q2 Profit Down, But Adj. Profit Tops View - Quick Facts

(RTTNews) - Hyatt Hotels Corp.(H) reported that its net income attributable to the company for the second quarter of 2014 dropped to $74 million or $0.48 per share, from $112 million or $0.70 per share in the second quarter of 2013.

Adjusted for special items, net income attributable to Hyatt was $72 million or $0.47 per share, during the second quarter of 2014 compared to net income attributable to Hyatt of $70 million, or $0.43 per share, during the second quarter of 2013. On average, 20 analysts polled by Thomson Reuters expected the company to report earnings of $0.45 per share for the quarter. Analysts' estimates typically exclude special items.

Comparable owned and leased hotels RevPAR increased 4.8% (4.0% excluding the effect of currency) in the second quarter of 2014 compared to the second quarter of 2013. Total revenues for the quarter grew to $1.158 billion from $1.092 billion last year. Wall Street expected revenues of $1.18 billion.

By year-end 2014, the company expects to close on the sale of Hyatt Residential Group for $190 million. In addition, it is currently marketing for sale eight full service hotels and more than 40 select service hotels. It expects to maintain its brand presence on each hotel upon sale.

The company expects to open approximately 40 hotels in 2014. Adjusted SG&A expense is expected to be approximately $325 million for 2014.